Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 15, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2022 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2022 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 001-35212 | |
Entity Registrant Name | PIONEER POWER SOLUTIONS, INC. | |
Entity Central Index Key | 0001449792 | |
Entity Tax Identification Number | 27-1347616 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 400 Kelby Street | |
Entity Address, Address Line Two | 12th Floor | |
Entity Address, City or Town | Fort Lee | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07024 | |
City Area Code | (212) | |
Local Phone Number | 867-0700 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | PPSI | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 9,644,545 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Revenues | $ 4,289 | $ 5,625 | $ 10,325 | $ 9,127 |
Cost of goods sold | 4,208 | 5,130 | 9,369 | 8,473 |
Gross profit | 81 | 495 | 956 | 654 |
Operating expenses | ||||
Selling, general and administrative | 2,585 | 1,240 | 4,331 | 2,506 |
Total operating expenses | 2,585 | 1,240 | 4,331 | 2,506 |
Loss from operations | (2,504) | (745) | (3,375) | (1,852) |
Interest income | (104) | (95) | (206) | (189) |
Other expense (income), net | 117 | 36 | 129 | (1,307) |
Loss before taxes | (2,517) | (686) | (3,298) | (356) |
Income tax expense (benefit) | 7 | (21) | ||
Net loss | $ (2,517) | $ (686) | $ (3,305) | $ (335) |
Loss per share: | ||||
Basic | $ (0.26) | $ (0.08) | $ (0.34) | $ (0.04) |
Diluted | $ (0.26) | $ (0.08) | $ (0.34) | $ (0.04) |
Weighted average common shares outstanding: | ||||
Basic | 9,728 | 8,726 | 9,685 | 8,726 |
Diluted | 9,728 | 8,726 | 9,685 | 8,726 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Current assets | ||
Cash | $ 9,785 | $ 9,924 |
Restricted cash | 1,775 | |
Notes receivable and accrued interest | 5,993 | 5,778 |
Accounts receivable, net | 5,211 | 2,429 |
Inventories | 9,017 | 4,160 |
Prepaid expenses and other current assets | 1,074 | 1,069 |
Total current assets | 31,080 | 25,135 |
Property and equipment, net | 619 | 516 |
Right-of-use assets | 2,337 | 2,237 |
Other assets | 80 | 39 |
Total assets | 34,116 | 27,927 |
Current liabilities | ||
Accounts payable and accrued liabilities | 6,407 | 4,159 |
Deferred revenue | 9,289 | 2,423 |
Total current liabilities | 15,696 | 6,582 |
Other long-term liabilities | 1,440 | 1,793 |
Total liabilities | 17,136 | 8,375 |
Stockholders’ equity | ||
Preferred stock, $0.001 par value, 5,000,000 shares authorized; none issued | ||
Common stock, $0.001 par value, 30,000,000 shares authorized; 9,644,545 and 9,640,545 shares issued and outstanding on June 30, 2022 and December 31, 2021, respectively | 10 | 10 |
Additional paid-in capital | 32,573 | 31,840 |
Accumulated other comprehensive income | 14 | 14 |
Accumulated deficit | (15,617) | (12,312) |
Total stockholders’ equity | 16,980 | 19,552 |
Total liabilities and stockholders’ equity | $ 34,116 | $ 27,927 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, authorized | 5,000,000 | 5,000,000 |
Preferred stock, issued | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, authorized | 30,000,000 | 30,000,000 |
Common stock, issued | 9,644,545 | 9,640,545 |
Common stock, outstanding | 9,644,545 | 9,640,545 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Operating activities | ||
Net loss | $ (3,305) | $ (335) |
Depreciation | 73 | 74 |
Amortization of right-of-use finance leases | 124 | 156 |
Amortization of imputed interest | (214) | (214) |
Interest expense from PPP Loan | 4 | |
Gain on forgiveness of PPP Loan | (1,417) | |
Amortization of right-of-use operating leases | 328 | 262 |
Change in receivable reserves | (141) | 43 |
Proceeds from insurance receivable | 95 | |
Stock-based compensation | 716 | 71 |
Changes in current operating assets and liabilities: | ||
Accounts receivable | (2,642) | (1,423) |
Inventories | (4,857) | (910) |
Prepaid expenses and other assets | (67) | 118 |
Income taxes | 27 | 403 |
Accounts payable and accrued liabilities | 1,796 | 1,053 |
Deferred revenue | 6,866 | 1,839 |
Principal repayments of operating leases | (325) | (252) |
Net cash used in operating activities | (1,621) | (433) |
Investing activities | ||
Additions to property and equipment | (174) | (62) |
Net cash used in investing activities | (174) | (62) |
Financing activities | ||
Net proceeds from the exercise of options for common stock | 17 | |
Principal repayments of financing leases | (136) | (163) |
Net cash used in financing activities | (119) | (163) |
Decrease in cash and restricted cash | (1,914) | (658) |
Cash, and restricted cash, beginning of year | 11,699 | 7,567 |
Cash, and restricted cash, end of period | 9,785 | 6,909 |
Non-cash investing and financing activities: | ||
Acquisition of right-of-use assets and lease liabilities | 551 | |
Declared dividend unpaid | $ 1,047 |
Consolidated Statement of Stock
Consolidated Statement of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Total |
Balance Beginning at Dec. 31, 2020 | $ 9 | $ 23,981 | $ 14 | $ (10,145) | $ 13,859 |
Balance Beginning (in shares) at Dec. 31, 2020 | 8,726,045 | ||||
Net loss | (335) | (335) | |||
Stock-based compensation | 71 | 71 | |||
Dividend to shareholders | (1,047) | (1,047) | |||
Balance Ending at Jun. 30, 2021 | $ 9 | 23,005 | 14 | (10,480) | 12,548 |
Balance Ending (in shares) at Jun. 30, 2021 | 8,726,045 | ||||
Balance Beginning at Mar. 31, 2021 | $ 9 | 24,014 | 14 | (9,794) | 14,243 |
Balance Beginning (in shares) at Mar. 31, 2021 | 8,726,045 | ||||
Net loss | (686) | (686) | |||
Stock-based compensation | 38 | 38 | |||
Dividend to shareholders | (1,047) | (1,047) | |||
Balance Ending at Jun. 30, 2021 | $ 9 | 23,005 | 14 | (10,480) | 12,548 |
Balance Ending (in shares) at Jun. 30, 2021 | 8,726,045 | ||||
Balance Beginning at Dec. 31, 2021 | $ 10 | 31,840 | 14 | (12,312) | $ 19,552 |
Balance Beginning (in shares) at Dec. 31, 2021 | 9,640,545 | 9,640,545 | |||
Net loss | (3,305) | $ (3,305) | |||
Stock-based compensation | 716 | 716 | |||
Exercise of stock options | 17 | $ 17 | |||
Exercise of stock options (in shares) | 4,000 | 4,000 | |||
Balance Ending at Jun. 30, 2022 | $ 10 | 32,573 | 14 | (15,617) | $ 16,980 |
Balance Ending (in shares) at Jun. 30, 2022 | 9,644,545 | 9,644,545 | |||
Balance Beginning at Mar. 31, 2022 | $ 10 | 31,914 | 14 | (13,100) | $ 18,838 |
Balance Beginning (in shares) at Mar. 31, 2022 | 9,644,545 | ||||
Net loss | (2,517) | (2,517) | |||
Stock-based compensation | 659 | 659 | |||
Balance Ending at Jun. 30, 2022 | $ 10 | $ 32,573 | $ 14 | $ (15,617) | $ 16,980 |
Balance Ending (in shares) at Jun. 30, 2022 | 9,644,545 | 9,644,545 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | 1. BASIS OF PRESENTATION Overview Pioneer Power Solutions, Inc. and its wholly owned subsidiaries (referred to herein as the “Company,” “Pioneer,” “Pioneer Power,” “we,” “our” and “us”) design, manufacture, integrate, refurbish, service, distribute and sell electric power systems, distributed energy resources, power generation equipment and mobile electric vehicle (“EV”) charging solutions. Our products and services are sold to a broad range of customers in the utility, industrial and commercial markets. Our customers include, but are not limited to, electric, gas and water utilities, data center developers and owners, EV charging infrastructure developers and owners, and distributed energy developers. The Company is headquartered in Fort Lee, New Jersey and operates from three ( 3 We have two reportable segments as defined in our Annual Report on Form 10-K for the year ended December 31, 2021, as filed with the Securities and Exchange Commission (the “SEC”) on March 31, 2022: Transmission and Distribution Solutions (“T&D Solutions”) and Critical Power Solutions (“Critical Power”). Presentation The accompanying unaudited interim consolidated financial statements of the Company have been prepared pursuant to the rules of the SEC and reflect the accounts of the Company as of June 30, 2022. Certain information and footnote disclosures, normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”), have been condensed or omitted pursuant to those rules and regulations. We believe that the disclosures made are adequate to make the information presented not misleading to the reader. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, necessary to fairly state the financial position, results of operations and cash flows with respect to the interim consolidated financial statements have been included. The results of operations for the interim period are not necessarily indicative of the results for the entire fiscal year. The year-end balance sheet data was derived from audited financial statements but does not include all disclosures required by U.S. GAAP for a year-end balance sheet. All dollar amounts (except share and per share data) presented in the notes to our unaudited interim consolidated financial statements are stated in thousands of dollars, unless otherwise noted. Amounts may not foot due to rounding. ASC 740-270 requires the use of an estimated annual effective tax rate to compute the tax provision during an interim period unless certain exceptions are met. We have used a discrete-period computation method to calculate taxes for the fiscal three and six-month periods ended June 30, 2022. Due to projected operating losses for the year, the Company anticipates that its annual effective tax rate will be 0 100 These unaudited interim consolidated financial statements include the accounts of Pioneer and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. These unaudited interim consolidated financial statements should be read in conjunction with the risk factors under the heading “Part II - Item 1A. Risk Factors” and the risk factors and the audited consolidated financial statements and notes thereto of the Company and its subsidiaries included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Liquidity The accompanying financial statements have been prepared on a basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As shown in the accompanying financial statements as of June 30, 2022, the Company had $ 9.8 15.4 We have met our cash needs through a combination of cash flows from operating activities and bank borrowings, the completion of the Equity Transaction (as defined herein), proceeds from the sale of the CleanSpark Common Stock and warrants to purchase CleanSpark Common Stock, proceeds from insurance and the sale of common stock under the At The Market Sale Agreement and funding from the Payroll Protection Program. Our cash requirements historically were generally for operating activities, debt repayment, capital improvements and acquisitions. We expect to meet our cash needs with our working capital and cash flows from our operating activities. We expect our cash requirements to be generally for operating activities, product development and capital improvements. The Company expects that its current cash balance is sufficient to fund operations for the next twelve months. On June 1, 2021 0.12 June 22, 2021 July 7, 2021 0.12 0.001 During the year ended December 31, 2021, the Company executed a cash collateral security agreement with a commercial bank, which agreement required us to pledge cash collateral as security for all unpaid reimbursement obligations owing to the commercial bank for an irrevocable standby letter of credit in the amount of $ 1.8 million 1.3 million 505 The Company accounts for restricted cash under the guidance of ASU No. 2016-18, Statement of Cash Flows - Restricted Cash (Topic 230), which requires the statement of cash flows to explain the change during the period in the total of cash, cash equivalents, and restricted cash and that restricted cash be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The following table provides a reconciliation of cash and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the unaudited interim consolidated statement of cash flows: June 30, December 31, 2022 2021 Cash $ 9,785 $ 9,924 Restricted cash — 1,775 Total cash and restricted cash as shown in the statement of cash flows $ 9,785 $ 11,699 COVID-19 The full impact of the ongoing COVID-19 pandemic continues to evolve as the date of this report. As such, it continues to be uncertain as to the full magnitude that the pandemic will have on the Company’s financial condition, liquidity, and future results of operations. The Company has been able to operate substantially at capacity during the COVID-19 pandemic. Management is actively monitoring the global situation on its financial condition, liquidity, operations, suppliers, industry, and workforce. Given the daily evolution of the COVID-19 pandemic and the global responses to the continuing crisis, the Company is not able to estimate the full effects of the COVID-19 pandemic at this time, however, if the pandemic continues, it may have an adverse effect on the Company’s results of operations, financial condition, or liquidity. On March 27, 2020, then President Trump signed into law the “Coronavirus Aid, Relief, and Economic Security (CARES) Act” (the “CARES Act”). The CARES Act, among other things, appropriates funds for the SBA Paycheck Protection Program loans that are forgivable in certain situations to promote continued employment. On April 13, 2020, after having determined that it met the qualifications for this loan program due to the impact that COVID-19 would have on our financial condition, results of operations, and/or liquidity and applying for relief, the Company received a loan under the SBA Paycheck Protection Program (the “PPP Loan”) in the amount of $ 1.4 Under the terms of the PPP Loan, the Company was eligible for full or partial loan forgiveness. During the first quarter of 2021, the Company received full forgiveness of the PPP Loan and recognized a $ 1.4 Reclassification The following items have been reclassified in the 2021 financial statements: The unaudited consolidated statements of cash flows contain a reclassification of the gain on the extinguishment and forgiveness of the PPP Loan from financing activities to operating activities for the six months ended June 30, 2021. Additionally, principal repayments of financing leases and the reduction in operating leases have been reclassified and presented in the applicable cash flow activity for the six months ended June 30, 2021. The inventories footnote contains a reclassification of the provision for excess and obsolete inventory and reductions to net realizable value to the applicable inventory classification at December 31, 2021. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company’s significant accounting policies are described in Note 2 to the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. There have been no significant changes in the Company’s accounting policies during the second quarter of 2022. Recent Accounting Pronouncements There have been no recent accounting pronouncements not yet adopted by the Company which would have a material impact on the Company’s financial statements. Measurement of Credit Losses on Financial Instrument |
REVENUES
REVENUES | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | 3. REVENUES Nature of our products and services Our principal products and services include electric power systems, distributed energy resources, power generation equipment and mobile EV charging solutions. Products Our T&D Solutions business provides electric power systems and distributed energy resources that help customers effectively and efficiently protect, control, transfer, monitor and manage their electric energy requirements. Our Critical Power business provides customers with our suite of mobile e-Boost electric vehicle charging solutions and power generation equipment. Services Power generation systems represent considerable investments that require proper maintenance and service in order to operate reliably during a time of emergency. Our power maintenance programs provide preventative maintenance, repair and support service for our customers’ power generation systems. Our principal source of revenue is derived from sales of products and fees for services. We measure revenue based upon the consideration specified in the customer arrangement, and revenue is recognized when the performance obligations in the customer arrangement are satisfied. A performance obligation is a promise in a contract to transfer a distinct product or service to the customer. The transaction price of a contract is allocated to each distinct performance obligation and recognized as revenue when or as, the customer receives the benefit of the performance obligation. Customers typically receive the benefit of our products when the risk of loss or control for the product transfers to the customer and for services as they are performed. Under ASC 606, revenue is recognized when a customer obtains control of promised products or services in an amount that reflects the consideration we expect to receive in exchange for those products or services. To achieve this core principal, the Company applies the following five steps: 1) Identify the contract with a customer A contract with a customer exists when (i) the Company enters into an enforceable contract with a customer that defines each party’s rights regarding the products or services to be transferred and identifies the payment terms related to these products or services, (ii) the contract has commercial substance and, (iii) the Company determines that collection of substantially all consideration for products or services that are transferred is probable based on the customer’s intent and ability to pay the promised consideration. The Company applies judgment in determining the customer’s ability and intention to pay, which is based on a variety of factors including the customer’s historical payment experience or, in the case of a new customer, published credit and financial information pertaining to the customer. 2) Identify the performance obligations in the contract Performance obligations promised in a contract are identified based on the products or services that will be transferred to the customer that are both capable of being distinct, whereby the customer can benefit from the product or service either on its own or together with other resources that are readily available from third parties or from the Company, and are distinct in the context of the contract, whereby the transfer of the products or services is separately identifiable from other promises in the contract. To the extent a contract includes multiple promised products or services, the Company must apply judgment to determine whether promised products or services are capable of being distinct and distinct in the context of the contract. If these criteria are not met the promised products or services are accounted for as a combined performance obligation. 3) Determine the transaction price The transaction price is determined based on the consideration to which the Company will be entitled in exchange for transferring products or services to the customer. The customer payments are generally due in 30 days. 4) Allocate the transaction price to performance obligations in the contract If the contract contains a single performance obligation, the entire transaction price is allocated to the single performance obligation. Contracts that contain multiple performance obligations require an allocation of the transaction price to each performance obligation based on a relative standalone selling price basis or cost of the product or service. The Company determines standalone selling price based on the price at which the performance obligation is sold separately. If the standalone selling price is not observable through past transactions, the Company estimates the standalone selling price taking into account available information such as market conditions and internally approved pricing guidelines related to the performance obligations. 5) Recognize revenue when or as the Company satisfies a performance obligation The Company satisfies performance obligations either over time or at a point in time. Revenue is recognized at the time the related performance obligation is satisfied by transferring a promised product or service to a customer. Revenue from the sale of our products is predominantly recognized at a point in time. Revenues are recognized at the point in time that the customer obtains control of the good, which is when it has taken title to the products and has assumed the risks and rewards of ownership specified in the purchase order or sales agreement. Certain sales of highly customized large equipment are recognized over time when such equipment has no alternative use and the Company has an enforceable right to payment for performance completed to date. Revenue for such agreements is recognized under the input method based on cost incurred relative to the estimated cost expected to be consumed to complete the project. During the three months ended June 30, 2022 and 2021, the Company recognized $ 2.4 3.8 1.9 During the six months ended June 30, 2022 and 2021, the Company recognized $ 6.9 5.7 3.4 3.5 During the three months ended June 30, 2021, the Company recognized $ 2.0 1.8 3.1 2.9 During the three months ended June 30, 2022, the Company recognized approximately $ 214 2 During the six months ended June 30, 2022, the Company recognized approximately $ 2.1 58 The Company manages its accounts receivable credit risk by performing credit evaluations and monitoring amounts due from the Company’s customers. The Company had certain customers whose revenue individually represented 10% or more of the Company’s total revenue, or whose accounts receivable balances individually represented 10% or more of the Company’s total accounts receivable. At June 30, 2022, three customers represented approximately 34 26 15 32 11 For the six months ended June 30, 2022, three customers represented approximately 17 14 11 34 14 Return of a product requires that the buyer obtain permission in writing from the Company. When the buyer requests authorization to return material for reasons of their own, the buyer will be charged for placing the returned goods in saleable condition, restocking charges and for any outgoing and incoming transportation paid by the Company. The Company warrants title to the products, and also warrants the products on date of shipment to the buyer, to be of the kind and quality described in the contract, merchantable, and free of defects in workmanship and material. Returns and warranties during three and six months ended June 30, 2022 and 2021 were insignificant. The following table presents our revenues disaggregated by revenue discipline: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Products $ 2,432 $ 3,755 $ 6,934 $ 5,668 Services 1,857 1,870 3,391 3,459 Total revenue $ 4,289 $ 5,625 $ 10,325 $ 9,127 See “Note 11 - Business Segment and Geographic Information in Notes to Consolidated Financial Statements” in Part I of this Quarterly Report on Form 10-Q. |
OTHER EXPENSE (INCOME)
OTHER EXPENSE (INCOME) | 6 Months Ended |
Jun. 30, 2022 | |
Other Income and Expenses [Abstract] | |
OTHER EXPENSE (INCOME) | 4. OTHER EXPENSE (INCOME) Other expense (income) in the unaudited interim consolidated statements of operations reports certain gains and losses associated with activities not directly related to our core operations. For the three months ended June 30, 2022, other expense was $ 117 36 For the six months ended June 30, 2022, other expense was $ 129 1.3 1.4 |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jun. 30, 2022 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | 5. INVENTORIES The components of inventories are summarized below: June 30, December 31, 2022 2021 Raw materials $ 2,570 $ 993 Work in process 6,447 3,167 Total inventories $ 9,017 $ 4,160 Inventories are stated at the lower of cost or a net realizable value determined on a weighted average method. |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 6 Months Ended |
Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | 6. PROPERTY AND EQUIPMENT Property and equipment are summarized below: June 30, December 31, 2022 2021 Property and equipment Machinery, vehicles and equipment $ 1,404 $ 1,396 Furniture and fixtures 208 205 Computer hardware and software 561 541 Leasehold improvements 329 322 Construction in progress 136 — Property and equipment 2,638 2,464 Less: accumulated depreciation (2,019 ) (1,948 ) Total property and equipment, net $ 619 $ 516 Depreciation expense was $ 37 37 Depreciation expense was $ 73 74 |
NOTES RECEIVABLE
NOTES RECEIVABLE | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
NOTES RECEIVABLE | 7. NOTES RECEIVABLE In connection with the sale of the transformer business units in August 2019 (the “Equity Transaction”), amongst other consideration, we received two subordinated promissory notes in the aggregate principal amount of $ 5 2.5 7.5 4 December 31, 2022 1.8 5 3.2 194 214 6 |
ACCOUNTS PAYABLE AND ACCRUED LI
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | 6 Months Ended |
Jun. 30, 2022 | |
Payables and Accruals [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | 8. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES The components of accounts payable and accrued liabilities are summarized below: June 30, December 31, 2022 2021 Accounts payable $ 4,191 $ 2,089 Accrued liabilities 1,240 1,263 Current portion of lease liabilities 976 807 Total accounts payable and accrued liabilities $ 6,407 $ 4,159 Accrued liabilities primarily consist of accrued insurance, accrued sales commissions and accrued compensation and benefits. At June 30, 2022 and December 31, 2021, accrued insurance was $ 160 481 132 247 357 270 231 50 |
STOCKHOLDERS_ EQUITY
STOCKHOLDERS’ EQUITY | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
STOCKHOLDERS’ EQUITY | 9. STOCKHOLDERS’ EQUITY Common Stock The Company had 9,644,545 9,640,545 0.001 Stock-Based Compensation A summary of stock option activity during the six months ended June 30, 2022 is as follows: Stock Weighted average Weighted Aggregate Outstanding as of January 1, 2022 647,667 $ 5.53 Granted 27,000 3.17 Exercised (4,000 ) 4.11 Outstanding as of June 30, 2022 670,667 $ 5.45 6.10 $ 60 Exercisable as of June 30, 2022 643,667 $ 5.54 6.00 $ 60 On April 25, 2022, the Company awarded 375,000 125,000 125,000 125,000 1.6 million A summary of RSU activity during the six months ended June 30, 2022, is as follows: Number of units Weighted-average grant-date Unvested restricted stock units as of January 1, 2022 — $ — Units granted 375,000 1,631 Units vested (125,000 ) (544 ) Units forfeited — — Unvested restricted stock units as of June 30, 2022 250,000 $ 1,087 As of June 30, 2022, there were 498,000 Stock-based compensation expense recorded for the three and six months ended June 30, 2022 was approximately $ 658 716 38 71 1 1.8 |
BASIC AND DILUTED LOSS PER COMM
BASIC AND DILUTED LOSS PER COMMON SHARE | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
BASIC AND DILUTED LOSS PER COMMON SHARE | 10. BASIC AND DILUTED LOSS PER COMMON SHARE Basic and diluted loss per common share is calculated based on the weighted average number of vested shares outstanding even if such shares are not legally outstanding during the period. The Company’s employee and director equity awards, as well as incremental shares issuable upon exercise of warrants, are not considered in the calculations if the effect would be anti-dilutive. The following table sets forth the computation of basic and diluted loss per share (in thousands, except per share data): Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Numerator: Net loss $ (2,517 ) $ (686 ) $ (3,305 ) $ (335 ) Denominator: Weighted average basic shares outstanding 9,728 8,726 9,685 8,726 Effect of dilutive securities - equity based compensation plans — — — — Denominator for diluted net loss per common share 9,728 8,726 9,685 8,726 Net loss per common share: Basic $ (0.26 ) $ (0.08 ) $ (0.34 ) $ (0.04 ) Diluted $ (0.26 ) $ (0.08 ) $ (0.34 ) $ (0.04 ) As of June 30, 2022 and 2021, diluted loss per share excludes 921 674 |
BUSINESS SEGMENT AND GEOGRAPHIC
BUSINESS SEGMENT AND GEOGRAPHIC INFORMATION | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENT AND GEOGRAPHIC INFORMATION | 11. BUSINESS SEGMENT AND GEOGRAPHIC INFORMATION The Company follows ASC 280 Segment Reporting in determining its reportable segments. The Company considered the way its management team, most notably its chief operating decision maker, makes operating decisions and assesses performance and considered which components of the Company’s enterprise have discrete financial information available. As the Company makes decisions using a manufactured products vs. distributed products and services group focus, its analysis resulted in two The T&D Solutions segment is involved in the design, manufacture and distribution of switchgear used primarily by large industrial and commercial operations to manage their electrical power distribution needs. The Critical Power segment provides power generation equipment and aftermarket field-services primarily to help customers ensure smooth, uninterrupted power to operations during times of emergency. The following tables present information about segment loss: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Revenues T&D Solutions Power Systems $ 1,969 $ 3,596 $ 5,356 $ 4,983 Service — — 10 — 1,969 3,596 5,366 4,983 Critical Power Solutions Equipment 463 159 1,578 685 Service 1,857 1,870 3,381 3,459 Revenues 2,320 2,029 4,959 4,144 Consolidated $ 4,289 $ 5,625 $ 10,325 $ 9,127 Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Depreciation and amortization T&D Solutions $ 11 $ 18 $ 21 $ 35 Critical Power Solutions 92 62 162 181 Unallocated corporate overhead expenses 7 7 14 14 Consolidated $ 110 $ 87 $ 197 $ 230 Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Operating loss T&D Solutions $ (424 ) $ (125 ) $ (383 ) $ (564 ) Critical Power Solutions (757 ) (42 ) (911 ) (126 ) Unallocated corporate overhead expenses (1,323 ) (578 ) (2,081 ) (1,162 ) Consolidated $ (2,504 ) $ (745 ) $ (3,375 ) $ (1,852 ) Revenues are attributable to countries based on the location of the Company’s customers: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Revenues United States $ 4,289 $ 5,625 $ 10,325 $ 9,127 |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2022 | |
Leases | |
LEASES | 12. LEASES The Company leases certain offices, facilities and equipment under operating and financing leases. Our leases have remaining terms ranging from less than 1 5 5 1.2 1.6 420 1.1 As of June 30, 2022 and December 31, 2021, assets recorded under operating leases were $ 2.5 3.9 1.0 2.3 395 The components of the lease expense were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Operating lease cost $ 188 $ 142 $ 375 $ 284 Finance lease cost Amortization of right-of-use asset $ 73 $ 50 $ 124 $ 156 Interest on lease liabilities 11 10 21 21 Total finance lease cost $ 84 $ 60 $ 145 $ 177 Other information related to leases was as follows: Supplemental Cash Flows Information June 30, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities Operating cash flow payments for operating leases $ 372 $ 272 Operating cash flow payments for finance leases 21 21 Financing cash flow payments for finance leases 135 163 Right-of-use assets obtained in exchange for lease obligations Operating lease liabilities arising from obtaining right of use assets 551 — Weighted Average Remaining Lease Term June 30, 2022 2021 Operating leases 2 years 4 years Finance leases 3 years 2 years Weighted Average Discount Rate June 30, 2022 2021 Operating leases 5.50% 5.50% Finance leases 6.56% 6.80% Future minimum lease payments under non-cancellable leases as of June 30, 2022 were as follows: Operating Finance Leases Leases 2022 $ 369 $ 147 2023 670 388 2024 508 158 2025 95 174 Thereafter 24 108 Total future minmum lease payments 1,666 975 Less imputed interest (113 ) (112 ) Total future minmum lease payments $ 1,553 $ 863 Reported as of June 30, 2022: Operating Finance Leases Leases Right-of-use assets $ 1,511 $ 826 Operating Finance Leases Leases Accounts payable and accrued liabilities $ 631 $ 345 Other long-term liabilities 922 518 Total $ 1,553 $ 863 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements There have been no recent accounting pronouncements not yet adopted by the Company which would have a material impact on the Company’s financial statements. Measurement of Credit Losses on Financial Instrument |
BASIS OF PRESENTATION (Tables)
BASIS OF PRESENTATION (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
The following table provides a reconciliation of cash and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the unaudited interim consolidated statement of cash flows: | The following table provides a reconciliation of cash and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the unaudited interim consolidated statement of cash flows: June 30, December 31, 2022 2021 Cash $ 9,785 $ 9,924 Restricted cash — 1,775 Total cash and restricted cash as shown in the statement of cash flows $ 9,785 $ 11,699 |
REVENUES (Tables)
REVENUES (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
The following table presents our revenues disaggregated by revenue discipline: | The following table presents our revenues disaggregated by revenue discipline: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Products $ 2,432 $ 3,755 $ 6,934 $ 5,668 Services 1,857 1,870 3,391 3,459 Total revenue $ 4,289 $ 5,625 $ 10,325 $ 9,127 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Inventory Disclosure [Abstract] | |
The components of inventories are summarized below: | The components of inventories are summarized below: June 30, December 31, 2022 2021 Raw materials $ 2,570 $ 993 Work in process 6,447 3,167 Total inventories $ 9,017 $ 4,160 |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property and equipment are summarized below: | Property and equipment are summarized below: June 30, December 31, 2022 2021 Property and equipment Machinery, vehicles and equipment $ 1,404 $ 1,396 Furniture and fixtures 208 205 Computer hardware and software 561 541 Leasehold improvements 329 322 Construction in progress 136 — Property and equipment 2,638 2,464 Less: accumulated depreciation (2,019 ) (1,948 ) Total property and equipment, net $ 619 $ 516 |
ACCOUNTS PAYABLE AND ACCRUED _2
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Payables and Accruals [Abstract] | |
The components of accounts payable and accrued liabilities are summarized below: | The components of accounts payable and accrued liabilities are summarized below: June 30, December 31, 2022 2021 Accounts payable $ 4,191 $ 2,089 Accrued liabilities 1,240 1,263 Current portion of lease liabilities 976 807 Total accounts payable and accrued liabilities $ 6,407 $ 4,159 |
STOCKHOLDERS_ EQUITY (Tables)
STOCKHOLDERS’ EQUITY (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
A summary of stock option activity during the six months ended June 30, 2022 is as follows: | A summary of stock option activity during the six months ended June 30, 2022 is as follows: Stock Weighted average Weighted Aggregate Outstanding as of January 1, 2022 647,667 $ 5.53 Granted 27,000 3.17 Exercised (4,000 ) 4.11 Outstanding as of June 30, 2022 670,667 $ 5.45 6.10 $ 60 Exercisable as of June 30, 2022 643,667 $ 5.54 6.00 $ 60 |
A summary of RSU activity during the six months ended June 30, 2022, is as follows: | A summary of RSU activity during the six months ended June 30, 2022, is as follows: Number of units Weighted-average grant-date Unvested restricted stock units as of January 1, 2022 — $ — Units granted 375,000 1,631 Units vested (125,000 ) (544 ) Units forfeited — — Unvested restricted stock units as of June 30, 2022 250,000 $ 1,087 |
BASIC AND DILUTED LOSS PER CO_2
BASIC AND DILUTED LOSS PER COMMON SHARE (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
The following table sets forth the computation of basic and diluted loss per share (in thousands, except per share data): | Basic and diluted loss per common share is calculated based on the weighted average number of vested shares outstanding even if such shares are not legally outstanding during the period. The Company’s employee and director equity awards, as well as incremental shares issuable upon exercise of warrants, are not considered in the calculations if the effect would be anti-dilutive. The following table sets forth the computation of basic and diluted loss per share (in thousands, except per share data): Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Numerator: Net loss $ (2,517 ) $ (686 ) $ (3,305 ) $ (335 ) Denominator: Weighted average basic shares outstanding 9,728 8,726 9,685 8,726 Effect of dilutive securities - equity based compensation plans — — — — Denominator for diluted net loss per common share 9,728 8,726 9,685 8,726 Net loss per common share: Basic $ (0.26 ) $ (0.08 ) $ (0.34 ) $ (0.04 ) Diluted $ (0.26 ) $ (0.08 ) $ (0.34 ) $ (0.04 ) |
BUSINESS SEGMENT AND GEOGRAPH_2
BUSINESS SEGMENT AND GEOGRAPHIC INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
The following tables present information about segment loss: | The following tables present information about segment loss: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Revenues T&D Solutions Power Systems $ 1,969 $ 3,596 $ 5,356 $ 4,983 Service — — 10 — 1,969 3,596 5,366 4,983 Critical Power Solutions Equipment 463 159 1,578 685 Service 1,857 1,870 3,381 3,459 Revenues 2,320 2,029 4,959 4,144 Consolidated $ 4,289 $ 5,625 $ 10,325 $ 9,127 Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Depreciation and amortization T&D Solutions $ 11 $ 18 $ 21 $ 35 Critical Power Solutions 92 62 162 181 Unallocated corporate overhead expenses 7 7 14 14 Consolidated $ 110 $ 87 $ 197 $ 230 Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Operating loss T&D Solutions $ (424 ) $ (125 ) $ (383 ) $ (564 ) Critical Power Solutions (757 ) (42 ) (911 ) (126 ) Unallocated corporate overhead expenses (1,323 ) (578 ) (2,081 ) (1,162 ) Consolidated $ (2,504 ) $ (745 ) $ (3,375 ) $ (1,852 ) |
Revenues are attributable to countries based on the location of the Company’s customers: | Revenues are attributable to countries based on the location of the Company’s customers: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Revenues United States $ 4,289 $ 5,625 $ 10,325 $ 9,127 |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Leases | |
The components of the lease expense were as follows: | The components of the lease expense were as follows: Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Operating lease cost $ 188 $ 142 $ 375 $ 284 Finance lease cost Amortization of right-of-use asset $ 73 $ 50 $ 124 $ 156 Interest on lease liabilities 11 10 21 21 Total finance lease cost $ 84 $ 60 $ 145 $ 177 |
Other information related to leases was as follows: | Other information related to leases was as follows: Supplemental Cash Flows Information June 30, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities Operating cash flow payments for operating leases $ 372 $ 272 Operating cash flow payments for finance leases 21 21 Financing cash flow payments for finance leases 135 163 Right-of-use assets obtained in exchange for lease obligations Operating lease liabilities arising from obtaining right of use assets 551 — Weighted Average Remaining Lease Term June 30, 2022 2021 Operating leases 2 years 4 years Finance leases 3 years 2 years Weighted Average Discount Rate June 30, 2022 2021 Operating leases 5.50% 5.50% Finance leases 6.56% 6.80% |
Future minimum lease payments under non-cancellable leases as of June 30, 2022 were as follows: | Future minimum lease payments under non-cancellable leases as of June 30, 2022 were as follows: Operating Finance Leases Leases 2022 $ 369 $ 147 2023 670 388 2024 508 158 2025 95 174 Thereafter 24 108 Total future minmum lease payments 1,666 975 Less imputed interest (113 ) (112 ) Total future minmum lease payments $ 1,553 $ 863 |
Reported as of June 30, 2022: | Reported as of June 30, 2022: Operating Finance Leases Leases Right-of-use assets $ 1,511 $ 826 Operating Finance Leases Leases Accounts payable and accrued liabilities $ 631 $ 345 Other long-term liabilities 922 518 Total $ 1,553 $ 863 |
BASIS OF PRESENTATION (Details
BASIS OF PRESENTATION (Details Narrative) | 3 Months Ended | 6 Months Ended | |||||||
May 11, 2022 USD ($) | Jun. 01, 2021 $ / shares | Mar. 31, 2022 USD ($) | Mar. 31, 2021 USD ($) | Jun. 30, 2022 USD ($) N $ / shares | Jun. 30, 2021 USD ($) | Dec. 31, 2021 $ / shares | Jul. 07, 2021 $ / shares | Apr. 13, 2020 USD ($) | |
Number of additional locations | N | 3 | ||||||||
Effective tax rate | 0% | ||||||||
Deferred tax assets valuation allowance percentage | 100% | ||||||||
Cash on hand | $ 9,800,000 | ||||||||
Working capital | $ 15,400,000 | ||||||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | |||||||
Irrevocable standby letter of credit | $ 1,800,000 | ||||||||
Reduction in required cash collateral | $ 1,300,000 | ||||||||
Cash collateral released | $ 505,000 | ||||||||
Gain on extinguishment of debt | $ 1,417,000 | ||||||||
PPP Loan [Member] | |||||||||
Loan face value | $ 1,400,000 | ||||||||
Gain on extinguishment of debt | $ 1,400,000 | $ 1,400,000 | |||||||
Dividend Declared [Member] | |||||||||
Dividend date declared | Jun. 01, 2021 | ||||||||
Dividend amount (in dollars per share) | $ / shares | $ 0.12 | ||||||||
Dividend record date | Jun. 22, 2021 | ||||||||
Dividend payment date | Jul. 07, 2021 | ||||||||
Dividend Paid [Member] | |||||||||
Dividend amount (in dollars per share) | $ / shares | $ 0.12 | ||||||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.001 |
The following table provides a
The following table provides a reconciliation of cash and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the unaudited interim consolidated statement of cash flows: (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Cash | $ 9,785 | $ 9,924 | ||
Restricted cash | 1,775 | |||
Total cash and restricted cash as shown in the statement of cash flows | $ 9,785 | $ 11,699 | $ 6,909 | $ 7,567 |
The following table presents ou
The following table presents our revenues disaggregated by revenue discipline: (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 4,289 | $ 5,625 | $ 10,325 | $ 9,127 |
Product [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 2,432 | 3,755 | 6,934 | 5,668 |
Service [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 1,857 | $ 1,870 | $ 3,391 | $ 3,459 |
REVENUES (Details Narrative)
REVENUES (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||||
Total revenue | $ 4,289 | $ 5,625 | $ 10,325 | $ 9,127 | ||
Contract costs incurred | 1,800 | 2,900 | ||||
Revenue recognized from deferred revenue | 214 | 2 | $ 2,100 | $ 58 | ||
Customer One [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Concentration Risk, Percentage | 34% | 32% | ||||
Customer One [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Concentration Risk, Percentage | 17% | 34% | ||||
Customer Two [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Concentration Risk, Percentage | 26% | 11% | ||||
Customer Two [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Concentration Risk, Percentage | 14% | 14% | ||||
Customer Three [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Concentration Risk, Percentage | 15% | |||||
Customer Three [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Concentration Risk, Percentage | 11% | |||||
Service [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Total revenue | 1,857 | 1,870 | $ 3,391 | $ 3,459 | ||
Transferred at Point in Time [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Total revenue | $ 2,400 | 3,800 | $ 6,900 | 5,700 | ||
Transferred over Time [Member] | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Total revenue | $ 2,000 | $ 3,100 |
OTHER EXPENSE (INCOME) (Details
OTHER EXPENSE (INCOME) (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Other expense | $ 117 | $ 36 | $ 129 | ||
Other income | $ 1,300 | ||||
Gain on extinguishment of debt | 1,417 | ||||
PPP Loan [Member] | |||||
Gain on extinguishment of debt | $ 1,400 | $ 1,400 |
The components of inventories a
The components of inventories are summarized below: (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 2,570 | $ 993 |
Work in process | 6,447 | 3,167 |
Total inventories | $ 9,017 | $ 4,160 |
Property and equipment are summ
Property and equipment are summarized below: (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Property and equipment | ||
Property and equipment | $ 2,638 | $ 2,464 |
Less: accumulated depreciation | (2,019) | (1,948) |
Total property and equipment, net | 619 | 516 |
Machinery, Vehicles and Equipment [Member] | ||
Property and equipment | ||
Property and equipment | 1,404 | 1,396 |
Furniture and Fixtures [Member] | ||
Property and equipment | ||
Property and equipment | 208 | 205 |
Computer Hardware and Software [Member] | ||
Property and equipment | ||
Property and equipment | 561 | 541 |
Leasehold Improvements [Member] | ||
Property and equipment | ||
Property and equipment | 329 | 322 |
Construction in Progress [Member] | ||
Property and equipment | ||
Property and equipment | $ 136 |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 37 | $ 37 | $ 73 | $ 74 |
NOTES RECEIVABLE (Details Narra
NOTES RECEIVABLE (Details Narrative) - Transformer Business Units [Member] - Subordinated Debt [Member] - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2022 | Aug. 16, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Principal amount | $ 7,500,000 | |||
Interest rate | 4% | |||
Maturity date | Dec. 31, 2022 | |||
Cash payment for promissory note | $ 1,800,000 | |||
Change in note receivable | $ 194,000 | |||
Revaluation of note | $ 214,000 | |||
Carrying value | $ 6,000,000 | |||
First Seller Note [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Principal amount | $ 3,200,000 | 5,000,000 | ||
Second Seller Note [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Principal amount | $ 2,500,000 |
The components of accounts paya
The components of accounts payable and accrued liabilities are summarized below: (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Payables and Accruals [Abstract] | ||
Accounts payable | $ 4,191 | $ 2,089 |
Accrued liabilities | 1,240 | 1,263 |
Current portion of lease liabilities | 976 | 807 |
Total accounts payable and accrued liabilities | $ 6,407 | $ 4,159 |
ACCOUNTS PAYABLE AND ACCRUED _3
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Details Narrative) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Payables and Accruals [Abstract] | ||
Accrued insurance | $ 160 | $ 481 |
Accrued sales commission | 132 | 247 |
Employee compensation and benefits | 357 | 270 |
Accrued sales and use taxes | $ 231 | $ 50 |
STOCKHOLDERS_ EQUITY (Details N
STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Apr. 25, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Class of Stock [Line Items] | ||||||
Common stock, outstanding | 9,644,545 | 9,644,545 | 9,640,545 | |||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | $ 0.001 | |||
Stock-based compensation | $ 658,000 | $ 38,000 | $ 716,000 | $ 71,000 | ||
Stock-based compensation not yet recognized | $ 1,000,000 | $ 1,000,000 | ||||
Stock-based compensation not yet recognized, weighted average remaining period | 1 year 9 months 18 days | |||||
Long-Term Incentive Plan [Member] | ||||||
Class of Stock [Line Items] | ||||||
Number of shares available for future grants | 498,000 | 498,000 | ||||
Restricted Stock Units (RSUs) [Member] | ||||||
Class of Stock [Line Items] | ||||||
Number of units awarded | 375,000 | |||||
Value of award | $ 1,600,000 | |||||
Restricted Stock Units (RSUs) [Member] | Vesting May 1, 2022 [Member] | ||||||
Class of Stock [Line Items] | ||||||
Number of units awarded | 125,000 | |||||
Restricted Stock Units (RSUs) [Member] | Vesting May 1, 2023 [Member] | ||||||
Class of Stock [Line Items] | ||||||
Number of units awarded | 125,000 | |||||
Restricted Stock Units (RSUs) [Member] | Vesting May 1, 2024 [Member] | ||||||
Class of Stock [Line Items] | ||||||
Number of units awarded | 125,000 |
A summary of stock option activ
A summary of stock option activity during the six months ended June 30, 2022 is as follows: (Details) $ / shares in Units, $ in Thousands | 6 Months Ended |
Jun. 30, 2022 USD ($) $ / shares shares | |
Equity [Abstract] | |
Outstanding at beginning of period | shares | 647,667 |
Outstanding at beginning of period | $ / shares | $ 5.53 |
Granted | shares | 27,000 |
Granted | $ / shares | $ 3.17 |
Exercised | shares | (4,000) |
Exercised | $ / shares | $ 4.11 |
Outstanding at end of period | shares | 670,667 |
Outstanding at end of period | $ / shares | $ 5.45 |
Outstanding at end of period | 6 years 1 month 6 days |
Outstanding at end of period | $ | $ 60 |
Exercisable at end of period | shares | 643,667 |
Exercisable at end of period | $ / shares | $ 5.54 |
Exercisable at end of period | 6 years |
Exercisable at end of period | $ | $ 60 |
A summary of RSU activity durin
A summary of RSU activity during the six months ended June 30, 2022, is as follows: (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2022 USD ($) shares | |
Equity [Abstract] | |
Unvested restricted stock units at beginning of period | shares | |
Unvested restricted stock units at beginning of period | $ | |
Units granted | shares | 375,000 |
Units granted | $ | $ 1,631 |
Units vested | shares | (125,000) |
Units vested | $ | $ (544) |
Units forfeited | shares | |
Units forfeited | $ | |
Unvested restricted stock units at end of period | shares | 250,000 |
Unvested restricted stock units at end of period | $ | $ 1,087 |
The following table sets forth
The following table sets forth the computation of basic and diluted loss per share (in thousands, except per share data): (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Numerator: | ||||
Net loss | $ (2,517) | $ (686) | $ (3,305) | $ (335) |
Denominator: | ||||
Weighted average basic shares outstanding | 9,728 | 8,726 | 9,685 | 8,726 |
Effect of dilutive securities - equity based compensation plans | ||||
Denominator for diluted net loss per common share | 9,728 | 8,726 | 9,685 | 8,726 |
Net loss per common share: | ||||
Basic | $ (0.26) | $ (0.08) | $ (0.34) | $ (0.04) |
Diluted | $ (0.26) | $ (0.08) | $ (0.34) | $ (0.04) |
BASIC AND DILUTED LOSS PER CO_3
BASIC AND DILUTED LOSS PER COMMON SHARE (Details Narrative) - shares shares in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Earnings Per Share [Abstract] | ||
Anti-dilutive shares | 921 | 674 |
The following tables present in
The following tables present information about segment loss: (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 4,289 | $ 5,625 | $ 10,325 | $ 9,127 |
Depreciation and amortization | 110 | 87 | 197 | 230 |
Operating income (loss) | (2,504) | (745) | (3,375) | (1,852) |
Operating Segments [Member] | T & D Solutions [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1,969 | 3,596 | 5,366 | 4,983 |
Depreciation and amortization | 11 | 18 | 21 | 35 |
Operating income (loss) | (424) | (125) | (383) | (564) |
Operating Segments [Member] | T & D Solutions [Member] | Power Systems [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1,969 | 3,596 | 5,356 | 4,983 |
Operating Segments [Member] | T & D Solutions [Member] | Service [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 10 | |||
Operating Segments [Member] | Critical Power Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 2,320 | 2,029 | 4,959 | 4,144 |
Depreciation and amortization | 92 | 62 | 162 | 181 |
Operating income (loss) | (757) | (42) | (911) | (126) |
Operating Segments [Member] | Critical Power Segment [Member] | Service [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1,857 | 1,870 | 3,381 | 3,459 |
Operating Segments [Member] | Critical Power Segment [Member] | Equipment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 463 | 159 | 1,578 | 685 |
Corporate, Non-Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | 7 | 7 | 14 | 14 |
Operating income (loss) | $ (1,323) | $ (578) | $ (2,081) | $ (1,162) |
Revenues are attributable to co
Revenues are attributable to countries based on the location of the Company’s customers: (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | $ 4,289 | $ 5,625 | $ 10,325 | $ 9,127 |
UNITED STATES | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenues | $ 4,289 | $ 5,625 | $ 10,325 | $ 9,127 |
BUSINESS SEGMENT AND GEOGRAPH_3
BUSINESS SEGMENT AND GEOGRAPHIC INFORMATION (Details Narrative) | 6 Months Ended |
Jun. 30, 2022 N | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
LEASES (Details Narrative)
LEASES (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Lessee, Lease, Description [Line Items] | |||
Lease extended term (in years) | 5 years | ||
Assets under finance leases | $ 1,200 | $ 1,200 | $ 1,600 |
Accumulated amortization associated with finance leases | 420 | 420 | 1,100 |
Assets under operating leases | 2,500 | 2,500 | 3,900 |
Accumulated amortization associated with operating leases | 1,000 | $ 1,000 | $ 2,300 |
Finance lease right-of-use assets and lease liability recognized | $ 395 | ||
Minimum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Remaining lease term (in years) | 1 year | ||
Maximum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Remaining lease term (in years) | 5 years |
The components of the lease exp
The components of the lease expense were as follows: (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Leases | ||||
Operating lease cost | $ 188 | $ 142 | $ 375 | $ 284 |
Finance lease cost | ||||
Amortization of right-of-use asset | 73 | 50 | 124 | 156 |
Interest on lease liabilities | 11 | 10 | 21 | 21 |
Total finance lease cost | $ 84 | $ 60 | $ 145 | $ 177 |
Other information related to le
Other information related to leases was as follows: (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash paid for amounts included in the measurement of lease liabilities | ||
Operating cash flow payments for operating leases | $ 372 | $ 272 |
Operating cash flow payments for finance leases | 21 | 21 |
Financing cash flow payments for finance leases | 135 | 163 |
Right-of-use assets obtained in exchange for lease obligations | ||
Operating lease liabilities arising from obtaining right of use assets | $ 551 | |
Operating Lease, Weighted Average Remaining Lease Term | 2 years | 4 years |
Finance Lease, Weighted Average Remaining Lease Term | 3 years | 2 years |
Operating Lease, Weighted Average Discount Rate, Percent | 5.50% | 5.50% |
Finance Lease, Weighted Average Discount Rate, Percent | 6.56% | 6.80% |
Future minimum lease payments u
Future minimum lease payments under non-cancellable leases as of June 30, 2022 were as follows: (Details) $ in Thousands | Jun. 30, 2022 USD ($) |
Leases | |
Operating Leases, 2022 | $ 369 |
Finance Leases, 2022 | 147 |
Operating Leases, 2023 | 670 |
Finance Leases, 2023 | 388 |
Operating Leases, 2024 | 508 |
Finance Leases, 2024 | 158 |
Operating Leases, 2025 | 95 |
Finance Leases, 2025 | 174 |
Operating Leases, Thereafter | 24 |
Finance Leases, Thereafter | 108 |
Operating Leases, Total future minmum lease payments | 1,666 |
Finance Leases, Total future minmum lease payments | 975 |
Operating Leases, Less imputed interest | (113) |
Finance Leases, Less imputed interest | (112) |
Operating Leases, Total future minmum lease payments | 1,553 |
Finance Leases, Total future minmum lease payments | $ 863 |
Reported as of June 30, 2022_ (
Reported as of June 30, 2022: (Details) $ in Thousands | Jun. 30, 2022 USD ($) |
Operating Lease, Right-of-Use Asset | $ 1,511 |
Finance Lease, Right-of-Use Asset, after Accumulated Amortization | 826 |
Operating Lease, Liability | 1,553 |
Finance Lease, Liability | 863 |
Accounts Payable and Accrued Liabilities [Member] | |
Operating Lease, Liability | 631 |
Finance Lease, Liability | 345 |
Other Noncurrent Liabilities [Member] | |
Operating Lease, Liability | 922 |
Finance Lease, Liability | $ 518 |